The common errors while submitting FORM GSTR-3B and the steps needed to be taken to rectify the same in FORM GSTR-1 are provided in the table annexed herewith. The corresponding column in the table provides the steps to be followed by taxpayer to rectify such error:

Scenario

GSTR-3B (Return Filed)

Changes in FORM GSTR-1

Refer Scenario - 1

Liability was under reported

If such liability was also not reported in FORM GSTR-1 of the month/quarter, then such liability may be declared in the subsequent month’s/quarter’s FORM GSTR-1 in which payment was made.

Refer Scenario - 2

Liability was over reported

Where the liability was also over reported in the month’s / quarter’s FORM GSTR-1, then such liability may be amended through amendments under Table 9 of FORM GSTR-1

Refer Scenario - 3

Liability was wrongly reported

(Ex: inter-State supply as intra-State supply)

Where such liability was also wrongly reported in FORM GSTR-1 of the month/quarter, then such taxpayers will have to file for amendments by filling Table 9 of the subsequent month’s / quarter’s FORM GSTR-1.

Refer Scenario - 4

Input tax credit was under reported

No Action

Refer Scenario - 5

Input tax credit was over reported

No Action

Refer Scenario - 6

Input Tax Credit of the wrong tax was taken

(Ex: Central Tax credit of as Integrated tax)

No Action

Refer Scenario - 7

Cash ledger wrongly updated

(Ex: Payment challan under the Central Tax head, while they wanted to deposit under the integrated tax)

No Action

Scenario-1:- Liability was under reported

Company A has four units in Haryana, while filing their return for the month of July, they inadvertently, missed on details of a last minute order. The Company had filed their returns in order to not pay late fee and other penalties. What can they do?

In this case, they may report this additional liability in the return of next month and pay tax with interest.

Scenario-2:- Liability was over reported

Company B had reported an inter-State sale but realized that the same sale was counted twice and hence was not to be reported or taxed. But the return form was already filed and no change could be done to reduce the liabilities. What can company B do?

In this case, they may reduce this liability in the return of subsequent months or claim refund of the same.

Scenario-3:- Liability was wrongly reported

Company C was registered in the State of Haryana. While entering their outward supplies in FORM GSTR-3B, the company realized that they had inadvertently, shown inter-State supply as intra-State supply and submitted the return. The company paid their wrong liability and filed their return in order to avoid late fee and penalty? What can they do?

Since, the return has already been filed, then the company will have to report the inter-State supply in their next month’s liability and adjust their wrongly paid intra-State liability in the subsequent months returns or claim refund of the same.

Scenario-4:- Input tax credit was under reported

Company D, while filing their FORM GSTR - 3B for the month of July, inadvertently, misreported Input tax credit of 1,00,00,000/- as 10,00,000/-. They had filed their return and paid 90,00,000/- in cash. What can they do?

Since, the return has already been filed, Company D may add such Input tax credit in their return for subsequent month(s).

Scenario-5:- Input tax credit was over reported

While filing their FORM GSTR 3B for the months of July, 2017, Company E inadvertently, reported their eligible input tax credit, as 20,00,000/- instead of 10,00,000/-. Company E also utilized their additional input tax credit and filed their returns. What can they do?

Since, the company had utilized ineligible credit to offset such liabilities, the company will have to pay (through cash) / Reverse such over reported utilized input tax credit with interest.

Scenario-6:- Input Tax Credit of the wrong tax was taken

While filing their FORM GSTR 3B for the months of July, 2017, Company E inadvertently, reported their Central Tax credit of 20,00,000/- as Integrated tax credit. In order to avoid late fee and penalties, they paid 20,00,000/- Central Tax in cash and did not utilize their Integrated tax credit. What can they do?

Since, the company has filed the returns and there is an unutilized Integrated tax credit of 20,00,000/- which was inadmissible to them, they will have to pay / reverse such credit in the return of subsequent month(s). Further, Central Tax credit of 20,00,000/- can be availed in return of subsequent month(s).

Scenario-7:- Cash ledger wrongly updated

While filing their FORM GSTR-3B return, Company F while generating payment challan added 5,00,000/- under the Central Tax head, while they wanted to deposit 5,00,000/- under the integrated tax head. What can they do?

Since, they have already filed their challan, they will have to add 5,00,000/- in their integrated tax head and file their returns. Further, they may seek refund of 5,00,000/- from their cash ledger.

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